While SpaceX prepares for what could become one of the largest IPOs in history, a parallel and increasingly competitive story is unfolding across Asia. A new wave of ambitious rocket startups is determined to claim a share of the rapidly expanding commercial launch market, challenging the long-standing dominance of the United States and China.

Among the most promising is Unastella, a four-year-old South Korean company that recently closed a $24 million Series B round, bringing its total funding to $44 million, according to TechCrunch.

In May 2025, Unastella successfully launched its own rocket, the Una Express-I, from South Korean soil — a significant milestone for a nation still building its commercial space capabilities. The Seoul-based startup is developing its own launch vehicles and engines, with an initial focus on small satellite launch services.

Founder and CEO Jae Park told TechCrunch that the near-term priority is proving the technology and business model through reliable orbital missions, with crewed suborbital spaceflight as a longer-term ambition.

Unastella’s approach is deliberately pragmatic. It uses a kerosene and liquid oxygen propulsion system — one of the most battle-tested combinations in rocketry, also employed by SpaceX’s Falcon vehicles. Notably, the company has replaced the traditional turbopump with an electric motor pump, a simpler and less expensive alternative already validated in flight by Rocket Lab.

While this choice reduces payload capacity due to the heavier electric system, Park views it as a strategic trade-off for speed to market.

“We’re not an R&D group trying to build the most impressive rocket. We’re a commercial launch company trying to get to market fast.”

This mindset distinguishes Unastella in an industry often seduced by cutting-edge but unproven technologies. Park emphasized that the company maintains end-to-end control over design, manufacturing, ground operations, and flight data. The Una Express-I launch served as the first comprehensive test of this vertically integrated approach.

A Founder with Deep Rocket Heritage

Park’s credentials lend substantial credibility to the venture. He has spent his career immersed in rocket engine development, including work on combustion systems for South Korea’s Nuri rocket — the country’s first indigenously developed orbital launch vehicle, built by the Korea Aerospace Research Institute (KARI). He later joined the German Aerospace Center in Berlin to contribute to European launch vehicle engines before returning to Korea and eventually founding Unastella.

The startup is not yet revenue-generating, but its investor base, led by Altos Ventures and including Korea Development Bank, Strong Ventures, and Hana Ventures, signals confidence in its disciplined execution. Institutional ties are already strengthening: Korea’s national space agency has flown components on the Una Express-I, and KARI has transferred electric motor pump technology to the company.

South Korea’s Emerging Commercial Space Ecosystem

Unastella operates within a South Korean space sector that is still young but gaining momentum. Hanwha Aerospace, the country’s largest defense conglomerate, took full control of the government-developed Nuri rocket last year after acquiring technology rights from KARI. Two other startups, Innospace and Perigee Aerospace, are also advancing their own vehicles, though none have yet achieved a commercial orbital launch.

The government is actively supporting the sector through the newly established Korea Aerospace Administration (KASA), which has committed $266 million over seven years to develop launch infrastructure. This investment reflects Seoul’s goal of reducing dependence on foreign launch providers and building sovereign capabilities in a domain increasingly viewed as critical for national security, communications, and economic competitiveness.

Asia’s Broader Push into Space

The competition extends well beyond South Korea. China currently leads the region, with multiple private companies, including Galactic Energy, LandSpace, and iSpace, having conducted multiple orbital launches. Japan’s H3 rocket, developed by JAXA and Mitsubishi, achieved its first successful launch in 2024, while startup Interstellar Technologies is developing its own small-lift vehicle. In Australia, Gilmour Space attempted its first orbital launch this year.

New Zealand-founded Rocket Lab remains the standout success story from the region — the only Asian-founded company to have built a commercially viable launch business, now listed on Nasdaq and regularly conducting missions for both commercial and government customers.

The global space launch market was valued at roughly $15 billion in 2023 and is projected to nearly triple to $41 billion by 2030, according to Grand View Research. Demand for small satellite launches, in particular, is expected to surge as constellations for communications, Earth observation, and scientific research expand rapidly.

Unastella’s pragmatic, cost-conscious approach positions it to capture a meaningful share of the smallsat launch market, which is often underserved by larger vehicles optimized for heavy payloads. By controlling the full stack in-house, the company aims to reduce costs and improve responsiveness compared to competitors reliant on complex international supply chains.

However, the path ahead is far from guaranteed. Achieving consistent orbital success, securing repeat customers, and scaling production while managing capital-intensive development will test the team’s execution. Geopolitical factors, including U.S.-China tensions and export controls on dual-use technologies, could also shape the competitive landscape in unpredictable ways.